Who to contact if you are concerned about lot rent increases.
Social
Security has announced that the 2026 payments will be increased by
2.8%. This is the COLA amount, or the Cost of Living Adjustment.
Compare this to our Pot-Nets lot rent increase of 5.216%.
State
law establishes that Pot-Nets will increase rents annually by 3.5% more than the total rent they paid the prior year, plus an additional amount adjusted by the consumer price index. This
year consumer price increase adjustment is 1.716%.
The
final result is a lot rent increase this year of 5.216%
Assuming
the consumer price increase adjustment remains at 1.716%, in five
years a rental payment of $10,000 will be $12,894.63; in 10 years it
will be $16,627.15; and in 15 years it will be $21,440.10 (more than
doubled).
You
can use one of many online “compound interest calculators” to
determine future payments based on your particular annual rent
amount.
I
recently contacted the DMHOA about the lot rent and here is their
response:
“The
formula that is being used is established by state law. DMHOA is
aware of the concerns and will have conversations about lot rent
increases. Please be sure to contact both Jeff Hilovsky and Brian
Pettyjohn and share your concern and story. Thank you for contacting
us! It is important that we have data on the homeowners who contact
us with lot rent concerns.”
Please
also contact the DMHOA (Delaware Manufactured Home Owners
Association) https://dmhoa.org/contact-us
Note:
If you came across this post and wonder why it is on my blog, this is
about the manufactured home that I live in at the Delaware shore, in
a group of communities called Pot-Nets Homes.
| | | | | | | | |  | Photo by Dave Rhoten |
|
It amazes me that people buy, sign the papers, and then complain about the lot rent when they had to know what they agreed to from the start. It's ironic that DMHOA states they are aware of the concerns when they are the ones responsible for this method.
ReplyDeleteDMHOA sought Rent Control and to be able to peek at the landowners books. Well here we are. Not only did we get Rent Justification, we got landowners either selling to outside companies or changing land use because, as they said in the legislative hearing when Rent Justification passed, they were not going to have someone control their profit margin.
We saw this happen to 5 communities in Sussex County so far and one landowner in Newark who changed land use and is building condos, which means residents had to move their homes. Why is it apartments can increase rents but people lose their minds when manufactured housing rents are increased? This is not your Daddy's trailer park, it's a business! The lot rents are exactly what the law states is possible. Laws brought about by DMHOA trying to help! I could list all the other ways DMHOA tried to help but we are paying for, but this comment is long enough! I can only say, politely, if you live in
manufactured housing, the place you BOUGHT AND SIGNED up for, and you are unhappy, you have the option to move. I cannot imagine living in a place where I am unhappy. We love it here! If people want to crusade something, let's champion medical coverage costs! That is a biggie!